HomeMy WebLinkAbout2017-1041
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RESOLUTION NO. 2017-104
RESOLUTION OF THE MAYOR AND CITY COUNCIL ACTING IN ITS
CAPACITYAS THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF
THE CITY OF SAN BERNARDINO APPROVING A PURCHASE AND SALE
AGREEMENT BETWEEN THE SUCCESSOR AGENCY AND THE CITY OF SAN
BERNARDINO ACTING IN THE CAPACITY AS THE SUCCESSOR HOUSING AGENCY
TO THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO WITH
RESPECT TO 10 REAL PROPERTY ASSETS LOCATED IN THE CITY OF SAN
BERNARDINO, AND APPROVING CERTAIN RELATED ACTIONS
WHEREAS, pursuant to Health and Safety Code (the "HSC") § 34172 (a) (1), the
Redevelopment Agency of the City of San Bernardino was dissolved on February 1, 2012; and
WHEREAS, consistent with the provisions of the HSC, the Mayor and City Council of the
City of San Bernardino previously elected to serve in the capacity of the Successor Agency to the
Redevelopment Agency of the City of San Bernardino (the "Successor Agency"); and
WHEREAS, consistent with the provisions of the HSC, the Mayor and City Council of the
City of San Bernardino previously elected to serve in the capacity of the Successor Housing
Agency to the Redevelopment Agency of the City of San Bernardino (the "Successor Housing
Agency"); and
WHEREAS, the Oversight Board to the Successor Agency (the "Oversight Board") has
been established pursuant to HSC § 34179 to assist in the wind -down of the dissolved
redevelopment agency; and
WHEREAS, on September 15, 2015, the Successor Agency submitted its Oversight
Board -approved Long -Range Property Management Plan (the "LRPMP") to the California
Department of Finance (the "DOF"); and
WHEREAS, on December 31, 2015, the DOF approved the Successor Agency's LRPMP
and notified the Successor Agency that pursuant to HSC § 34191.3, the approved LRPMP shall
govern, and supersede all other provisions relating to the disposition and use of all the real property
assets of the former redevelopment agency; and
WHEREAS, the approved LRPMP, which addresses the disposition and use of the real
property assets held by the Successor Agency, includes 230 parcels of land grouped into forty-six
(46) separate sites, eighteen (18) of which are designated as government use sites, seven (7) of
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which are designated as future development sites and twenty-one (21) of which are designated to be
sold (the "21-LRPMP for Sale Sites"); and
WHEREAS, pursuant to HSC § 34176 (a) (2), the Successor Housing Agency was
required to submit a Housing Asset Transfer form (the "HAT") to the DOF that lists, among other
things, all of the low- and moderate -income housing fund (the "LMIHF") real property assets, as
I more specifically defined in HSC § 34176 (e), to be retained by the Successor Housing Agency;
and
WHEREAS, consistent with the foregoing, the Successor Housing Agency submitted its
E HAT to DOF for review and thereafter provided DOF with pertinent supplemental and back-up
information that resulted in DOF's August 11, 2016 approval of the HAT, as amended (the
"Amended Hat"); and
WHEREAS, the Amended HAT lists 141 parcels of land, one of which was sold in 2012,1
I leaving 140 parcels to either be retained for housing purposes or sold; and
WHEREAS, as a part of its approval of the Amended HAT, DOF authorized 56 parcels to
I be transferred by the Successor Agency to the Successor Housing Agency at no cost (which has
already occurred) and determined 84 parcels to be sold by the Successor Agency; ten (10) of which
were acquired after the State's dissolution of redevelopment agencies (the "10 -HAT for Sale Sites")
and seventy-four (74) of which constitute the "Arden -Guthrie" property that will ultimately be sold
as a single site for commercial development purposes; and
WHEREAS, the City's Housing Division evaluated the 21-LRPMP for Sale Sites and the
110 -HAT for Sale Sites and identified ten (10) residentially zoned parcels that need to be acquired
for affordable housing purposes, as more particularly described within Exhibit "A," attached hereto
(the "10 Acquisition Parcels"); and
WHEREAS, to determine a fair and reasonable purchase price, the Successor Agency
requested Lee & Associates of Ontario California, a real estate brokerage firm familiar with the real
estate market within the Inland Empire Region in general and the City of San Bernardino in particular,
to prepare a Broker's Opinion of Value (the `BOV") to determine the fair and reasonable purchase I
price for the 10 Acquisition Parcels; and
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WHEREAS, based on past practice, the DOF has acknowledged that BOVs are an acceptable
method and basis for confirming that the value of real property being sold by a successor agency is fair
and reasonable; and
WHEREAS, on April 10, 2017, the Successor Agency received the BOV from Lee &
Associates confirming that $307,099 is the fair and reasonable purchase price (the "Purchase Price")
for the 10 Acquisition Parcels, as more fully described within the BOV, a copy of which is attached to
this Resolution as Exhibit `B"; and
WHEREAS, this Resolution will approve the Purchase and Sale Agreement (the
"Agreement") between the Successor Agency and the Successor Housing Agency with respect to
the 10 Acquisition Parcels, a copy of which is attached to this Resolution as Exhibit "C," and
authorize certain related actions; and
WHEREAS, the Agreement is consistent with the Successor Agency's and Successor
Housing Agency's Property Disposition Strategy that was approved by the City Council Ad Hoc
Real Estate Committee on February 23, 2017, and adopted by the Successor Agency and the
Successor Housing Agency on March 6, 2017 and;
WHEREAS, the Successor Housing Agency intends to fund the Purchase Price from its
I program income fund, which derives its funding from the repayment of affordable housing loans that
were made by the former redevelopment agency from the LMIHF and is sufficient to pay the Purchase
Price; and
WHEREAS, once the 10 Acquisition Parcels are transferred to the Successor Housing
Agency, the Successor Agency will transfer the net Purchase Price to the San Bernardino County
Auditor -Controller that will in turn divide and pay over the net Purchase Price to the affected taxing
entities in proportion to their respective shares of the 1% general tax levy, which will include the
City; and
WHEREAS, consistent with the provisions of the HSC and the LRPMP, the effectiveness
of the Agreement is subject to the approval of the Oversight Board and review by DOF; and
WHEREAS, this Resolution has been reviewed with respect to applicability of the
California Environmental Quality Act (the "CEQA"), the State CEQA Guidelines (California Code
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of Regulations, Title 14, § 15000 et seq., hereafter the "CEQA Guidelines"), and the City's
environmental guidelines; and
WHEREAS, this Resolution does not constitute a "project" for purposes of CEQA, as that
term is defined by CEQA Guidelines § 15378, because this Resolution is an organizational or
administrative activity that will not result in a direct or indirect physical change in the environment,
per § 15378 (b) (5) of the CEQA Guidelines; and
WHEREAS, all of the prerequisites with respect to the approval of this Resolution have
been met.
NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL
ACTING IN ITS CAPACITY AS THE SUCCESSOR AGENCY TO THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO AS FOLLOWS:
Section 1. The foregoing recitals are true and correct and are a substantive part of this
I Resolution.
Section 2. The Agreement between the Successor Agency and the Successor Housing
Agency for the 10 Acquisition Parcels, attached hereto as Exhibit "C" is hereby approved.
Section 3. On behalf of the Successor Agency, the City Manager, in the capacity as
Executive Director of the Successor Agency, is authorized and directed to execute the Agreement
and the quitclaim deed, the form of which is attached to the Agreement, and to take such other
actions and execute such other documents as are necessary to effectuate and close the purchase and
sale of the 10 Acquisition Parcels and as may otherwise be required to fulfill the intent of this
Resolution.
Section 4. This Resolution is not a "project" for purposes of CEQA, as that
term is defined by Guidelines § 15378, because this Resolution is an organizational or
administrative activity that will not result in a direct or indirect physical change in the environment,
per § 15378 (b) (5) of the Guidelines.
Section 5. This resolution shall take effect upon: (i) its adoption and execution in the
manner as required by the City's Municipal Code; (ii) the approval of the Agreement by the
Oversight Board; and (iii) its review by the DOF.
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RESOLUTION OF THE MAYOR AND CITY COUNCIL IN ITS CAPACITY AS
THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF
SAN BERNARDINO APPROVING A PURCHASE AND SALE AGREEMENT BETWEEN
THE SUCCESSOR AGENCY AND THE CITY OF SAN BERNARDINO ACTING IN THE
CAPACITY AS THE SUCCESSOR HOUSING AGENCY TO THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN BERNARDINO WITH RESPECT TO 10 REAL
PROPERTY ASSETS LOCATED IN THE CITY OF SAN BERNARDINO, AND
APPROVING CERTAIN RELATED ACTIONS
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and
City Council in its capacity as the Successor Agency to the Redevelopment Agency of the City
San Bernardino at a Joint Regular Meeting thereof, held on the 7th day of June 2017, by 1
following vote, to wit:
Council Members: AYES
MARQUEZ X
BARRIOS X(S)
VALDIVIA X(M)
SHORETT X
NICKEL X
RICHARD X
MULV IHILL X
NAYS ABSTAIN ABSENT
Georgeang,11anna, CM ,,City Clerk
The foregoing Resolution is hereby approved this 7th day of June 2017.
_1
1
R. Carey Davis, ayor
City of San B ardino
Approved as to form:
Gary D. Saenz, City Attorney
By.
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Description of the 10 Acquisition Parcels
1
0145-242-32
1238 N "D" St
0.18
RM
2
0145-242-33
N "D" St
0.15
RM
3
0155-101-08
N Del Rosa Ave
0.92
RM
4
1191-051-55
2105 Sunrise Ln
5
1191-031-23
2095 E 19th St
6
1191-051-45
2116 Sunrise Ln
7
1191-051-53
2131 Sunrise Ln
8
1191-051-60
2055 E Sunrise Ln
9
1191-051-61
2045 E Sunrise Ln
10
1191-051-66
2182 Sunrise Ln
0.22
0.23
0.22
0.22
0.22
0.22
0.24
RMH
RMH
RMH
RMH
RMH
RMH
RMH
EXHIBIT "A"
7th
$23,95
2nd
$19,60
2nd
$16,33
4th
$100,18
Subtotal
$136,12
7th
$23,95
7th
$25,04
7th
$23,95
7th
$23,95
7th
$23,95
7th
$23,95
7th
$26,13
Subtotal
$170,97
Notes: 1. Site Nos. 1, 2 and 3 above correspond to LRPMP Site Nos. 35,36 and 38
2. Site Nos. 4 through 10 above are a part of the "19th and Sunrise" Affordable Housing Target
Neighborhood
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Broker's Opinion of Value
Prepared by
Lee & Associate - Ontario
(See Attachment)
VA
EXHIBIT "B"
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Purchase and Sale Agreement
Between the
Successor Agency and the Successor Housing Agency
(See Attachment)
t
EXHIBIT "C"
PURCHASE AND SALE AGREEMENT
(REAL ESTATE)
THIS PURCHASE AND SALE AGREEMENT (the "Agreement") made this _ day of June 2017
by and between the Successor Agency to the Redevelopment Agency of the City of San Bernardino (the
"Successor Agency") and City of San Bernardino, in its capacity of the Successor Housing Agency to the
Redevelopment Agency of the City of San Bernardino (the "Successor Housing Agency"). Collectively,
Successor Agency and Successor Housing Agency are referred to herein as the "Parties."
WITNESSETH:
WHEREAS, pursuant to Health and Safety Code (the "HSC") § 34172 (a) (1), the Redevelopment
Agency of the City of San Bernardino was dissolved February 1, 2012; and
WHEREAS, consistent with the provisions of the HSC, on January 9, 2012 the Mayor and City
Council of the City elected to serve in the capacity of the Successor Agency; and
WHEREAS, consistent with the provisions of the HSC, the Mayor and City Council of the City of
San Bernardino previously elected to serve in the capacity of the Successor Housing Agency; and
WHEREAS, the Oversight Board to the Successor Agency (the "Oversight Board") has been
established pursuant to HSC § 34179 to assist in the wind -down of the dissolved redevelopment agency;
and
WHEREAS, the Successor Agency is the owner of that certain real property consisting of 10
individual residential zoned parcels (2.56 acres in total) as summarized in Exhibit "A" attached hereto (the "10
Acquisition Parcels"); and
WHEREAS, three (3) parcels of the 10 Acquisition Parcels are identified as Site Nos. 35, 36, and 38
within the Successor Agency's California Department of Finance (the "DOF") approved Long -Range Property
Management Plan (the "LRPMP") as vacant residential land to be sold; and
WHEREAS, the remaining seven (7) parcels of the 10 Acquisition Parcels: i) were included within
the Housing Asset Transfer form (the "HAT") that was submitted to DOF; ii) are a part of the "190' and
Sunrise" Affordable Housing Target Neighborhood; iii) were acquired after the State's dissolution of
redevelopment agencies: and iv) were ordered to be sold by DOF; and
WHEREAS, consistent with the HSC, the Successor Agency's sale of the 10 Acquisition Parcels
will require the concurrence of the Oversight Board and DOF; and
WHEREAS, the Successor Housing Agency wishes to purchase and the Successor Agency wishes to
sell the 10 Acquisition Parcels pursuant to the terms and conditions described herein; and
WHEREAS, to establish a fair and reasonable price for the 10 Acquisition Parcels, the Successor
Agency obtained a Broker's Opinion of Value (the `BOV") from Lee & Associates of Ontario, California
(the "Lea & Associates"); and
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WHEREAS, as more particularly described within the BOV, Lee & Associates has confirmed their
opinion that the 10 Acquisition Parcels are collectively worth $307,099; and
WHEREAS, the effectiveness of this Agreement is subject to the approval of the sale of the 10
Acquisition Parcels to the Successor Housing Agency consistent with the terms of the Agreement by the
Oversight Board and DOR
NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth hereinafter,
the Parties agree as follows:
1. Incorporation of Recitals: The foregoing Recitals are true and correct and are a substantive part of
this Agreement.
2. Administration of Agreement: The transaction described herein shall be administered exclusively by
the Successor Agency and the Successor Housing Agency.
3. Purchase Price: The purchase price for the 10 Acquisition Parcels shall be Three Hundred Seven
Thousand Ninety -Nine Dollars ($307,099.00) (the "Purchase Price"), which shall be payable upon
recordation of a quitclaim deed, the form of which is attached hereto as Exhibit `B."
4. Condition of Property: Except as specifically described in this Agreement, Successor Agency hereby
sells the 10 Acquisition Parcels to the Successor Housing Agency, and the Successor Housing Agency
hereby purchases the 10 Acquisition Parcels from the Successor Agency, in an "AS IS" condition.
5. Distribution of Proceeds. Pursuant to HSC § 34191.5 (B), the Successor Agency shall distribute the
net proceeds from the Purchase Price to the San Bernardino County Auditor Controller (the "CAC")
for CAC's subsequent distribution to the taxing entities, as defined in HSC § 34171 (k). Net proceeds
shall mean the Purchase Price less any of the City's costs described in Section No. 6 of this Agreement,
if any, and any third party fees in connection with escrow and title matters.
6. Commissions and Fees: The Parties have not engaged any real estate broker with respect to the
transfer of the 10 Acquisition Parcels and consequently no real estate commissions or fees are
applicable.
7. Governing Law: This Agreement shall be governed by and construed in accordance with the laws of
the State of California.
8. Captions: The captions appearing in this Agreement are for convenience only, are not part of this
Agreement and shall not be considered in interpreting this Agreement.
9. Amendments: This Agreement may not be altered, amended, or modified except by a writing
executed by the Parties.
10. Effectiveness of this Agreement: The effectiveness of this Agreement is subject to the following
prerequisites: (i) the Parties have approved and have caused this Agreement to be executed by their
designated representatives; (ii) this Agreement has been approved by the Oversight Board; and (iii) the
Oversight Board's resolution approving this Agreement has been approved by the DOF.
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11. Entire Agreement: This Agreement constitutes the entire agreement between the Parties with regard
to the subject matter herein and supersedes all prior oral and written agreements and understandings
between the Parties with respect to the purchase and sale of the 10 Acquisition Parcels.
written.
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first hereinabove
CITY:
By:
lkl-x� A—Xe�;4-
Mark Scott, City Manager
SUCCESSOR AGENCY:
Mark Scott, Executive Director
APPROVED AS TO FORM: ATTEST:
Gary D. Saenz, City Attorney
Georgeann 4na, CMC, C Clerk
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EXHIBIT "A"
Description of the 10 Acquisition Parcels
Notes: 1. Site Nos. 1, 2 and 3 above correspond to LRPMP Site Nos. 35, 36 and 38
2. Site Nos. 4 through 10 above are a part of the "19th and Sunrise" Affordable Housing
Target Neighborhood
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Properties
..
APN
Address
Lot Size (ac)
Zoning
Ward
BOV
1
0145-242-32
1238 N "D" St
0.18
RM
2nd
$19,603
2
0145-242-33
N "D" St
0.15
RM
2nd
$16,335
3
0155-101-08
N Del Rosa Ave
0.92
RM
4th
$100,188
Subtotal
$136,126
Properties
APN
Address:O
4
1191-051-55
2105 Sunrise Ln
0.22
RMH
7th
$23,958
5
1191-031-23
2095 E 19th St
0.23
RMH
7th
$25,048
6
1191-051-45
2116 Sunrise Ln
0.22
RMH
7th
$23,958
7
1191-051-53
2131 Sunrise Ln
0.22
RMH
7th
$23,958
8
1191-051-60
2055 E Sunrise Ln
0.22
RMH
7th
$23,958
9
1191-051-61
2045 E Sunrise Ln
0.22
RMH
7th
$23,958
10
1191-051-66
2182 Sunrise Ln
0.24
f RMH
7th
$26,135
Subtotal
$170,973
Total
$307,099
Notes: 1. Site Nos. 1, 2 and 3 above correspond to LRPMP Site Nos. 35, 36 and 38
2. Site Nos. 4 through 10 above are a part of the "19th and Sunrise" Affordable Housing
Target Neighborhood
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RECORDING REQUESTED BY:
Successor Agency to the
Redevelopment Agency of the City of
San Bernardino
WHEN RECORDED MAIL TO:
City of San Bernardino
300 N. "D" Street, 6th Floor
San Bernardino, CA 92418
Attn: Mark Scott, City Manauer
AP N : 0136-111-23
(NOT FOR SIGNATURE)
EXHIBIT "B"
(Space Above Line For Use By Recorder)
This document is exempt from the
payment of a recording fee pursuant to
Government Code Section 27383
DOCUMENTARY TRANSFER TAX $ NONE
QUITCLAIM DEED
(Form Only — Not for Signature)
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, the Successor Agency
to the Redevelopment Agency of the City of San Bernardino, a public body, corporate and politic (the
"Grantor") does hereby remise, release and quitclaim to the City of San Bernardino, a public body,
corporate and politic (the "Grantee"), any interest that Grantor may have in the real property in the City of
San Bernardino, County of San Bernardino, State of California, described in Attachment "A" attached
hereto and incorporated herein by this reference.
SUCCESSOR AGENCY TO THE REDEVELOPMENT
AGENCY OF THE CITY OF SAN BERNARDINO, a public
body, corporate and politic
Dated By: NOT FOR SIGNATURE
Mark Scott
Executive Director
Successor Agency to the Redevelopment Agency of
the City of San Bernardino
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A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate
is attached, and not the truthfulness, accuracy, or
validity of that document.
State of California )ss
County of San Bernardino }
On before me, , Notary
Public, personally appeared who proved to me on the
basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and
who acknowledged to me that he/she executed the same in his/her authorized capacity, and by his/her
signature on the instrument the person, or entity upon behalf of which the person acted, executed the
instrument.
I certify under PENALTY of PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
(Signature of Notary) (This area for official notarial seal)
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Attachment "A"
LEGAL DESCRIPTION
(Insert Here)
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CERTIFICATE OF ACCEPTANCE
This is to certify that the interest in real property conveyed by written deed or grant dated
, 2016 from the Successor Agency to the Redevelopment Agency of the City of San Bernardino, is hereby
accepted by the undersigned officer or agent on behalf of the City of San Bernardino, pursuant to authority
conferred by the City of San Bernardino on March 20, 2017, pursuant to Resolution No. 2017 -
and the City of San Bernardino consents to recordation thereof by its duly authorized officer.
Dated this day of , 2017
By: NOT FOR SIGNATURE
Mark Scott
City Manager
City of San Bernardino
Provides for:
280 South "E" Street, San Bernardino, California (APN: 0136-111-23)
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate
is attached, and not the truthfulness, accuracy, or
validity of that document.
State of California )SS
County of San Bernardino }
On before me, Notary Public,
personally appeared who proved to me on the basis of satisfactory
evidence to be the person whose name is subscribed to the within instrument and who acknowledged to me that
he/she executed the same in his/her authorized capacity, and by his/her signature on the instrument the person, or
entity upon behalf of which the person acted, executed the instrument.
I certify under PENALTY of PERJURY under the laws of the State of California that the foregoing paragraph is true
and correct.
WITNESS my hand and official seal.
(Signature of Notary) (This area for official notarial seal)